ALCHEMY RESOURCES LIMITED — Capital/Financing Update 2021

Oct 12, 2021

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Dear Option holder

Alchemy Resources Limited – Pro-Rata Non-Renounceable Entitlement Issue

On 12 October 2021, Alchemy Resources Limited (ACN 124 444 122) ( Company ) lodged a prospectus with ASIC ( Prospectus ) for a pro rata non-renounceable entitlement issue of one (1) fully paid ordinary share in the capital of the Company ( Share ) for every six (6) Shares held, at an issue price of $0.011 per Share, to raise up to approximately $1,232,446 (less costs of the offer) ( Entitlement Offer ).

Participation by Option holders

The terms and conditions of the options you currently hold do not entitle you to participate in the Entitlement Offer in relation to your holding of options unless you exercise your options in time for new Shares to be issued and to be entered on the Company’s register of members on or before 7.00pm (AEDST) on 18 October 2021 ( Record Date ).

To exercise your options and thereby participate in the Entitlement Offer, you will need to deliver the following to the Company in the manner contemplated by the option terms:

• a notice of exercise of options; and

• payment for the exercise price in respect of those options to be exercised.

To ensure that your new Shares are issued prior to the Record Date, the above must be received by the Company’s share registry no later than 7.00pm (AEDST) on 15 October 2021. If received after this date, issue of new Shares prior to the Record Date cannot be assured.

There is no obligation for you to exercise your options. This letter is intended to inform you of your rights in relation to your options and the Entitlement Offer. If you do not wish to participate in the Entitlement Offer you do not need to take any action.

Before deciding whether to exercise any or all of your options, you should read the Prospectus in its entirety.

Key details of the Entitlement Offer

The Entitlement Offer is being made to all shareholders of the Company named on its register of members at 7:00pm (AEDST) on 18 October 2021 ( Record Date ), whose registered address is in Australia or New Zealand ( Eligible Shareholders ).

Shares issued under the Entitlement Offer will rank equally with all Shares already on issue.

A copy of the Prospectus is available on ASX’s and the Company’s website.

Eligible Shareholders will be mailed a Prospectus together with a personalised Entitlement and Acceptance Form no later than the date specified in the timetable in the Prospectus.

For the purposes of calculating each Eligible Shareholders’ entitlement, fractions of entitlements will be rounded down to the nearest whole number of Shares or otherwise ignored.

Key details and dates for the Entitlement Offer

The Prospectus sets out the key details of the Entitlement Offer including the timetable.

If you have any queries concerning the Entitlement Offer, or the action you are required to take to subscribe for Shares, please contact your financial adviser or the Company Secretary on +61 8 6245 2050 or cterzanidis@alchemyresources.com.au.

Yours sincerely

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Lindsay Dudfield

Non-Executive Chairman For and on behalf of Alchemy Resources Limited

Suite 8, 8 Clive Street West Perth WA 6005

E: admin@alchemy resources.com.au W: www.alchemyresources.com.au

GPO Box 2815 Perth WA 6001

T: +61 8 9481 4400 T: +61 8 9481 4404